Correlation Between Eidesvik Offshore and OFFICE DEPOT
Can any of the company-specific risk be diversified away by investing in both Eidesvik Offshore and OFFICE DEPOT at the same time? Although using a correlation coefficient on its own may not help to predict future stock returns, this module helps to understand the diversifiable risk of combining Eidesvik Offshore and OFFICE DEPOT into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Eidesvik Offshore ASA and OFFICE DEPOT, you can compare the effects of market volatilities on Eidesvik Offshore and OFFICE DEPOT and check how they will diversify away market risk if combined in the same portfolio for a given time horizon. You can also utilize pair trading strategies of matching a long position in Eidesvik Offshore with a short position of OFFICE DEPOT. Check out your portfolio center. Please also check ongoing floating volatility patterns of Eidesvik Offshore and OFFICE DEPOT.
Diversification Opportunities for Eidesvik Offshore and OFFICE DEPOT
0.0 | Correlation Coefficient |
Pay attention - limited upside
The 3 months correlation between Eidesvik and OFFICE is 0.0. Overlapping area represents the amount of risk that can be diversified away by holding Eidesvik Offshore ASA and OFFICE DEPOT in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on OFFICE DEPOT and Eidesvik Offshore is a relative statistical measure of the degree to which these equity instruments tend to move together. The correlation coefficient measures the extent to which returns on Eidesvik Offshore ASA are associated (or correlated) with OFFICE DEPOT. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of OFFICE DEPOT has no effect on the direction of Eidesvik Offshore i.e., Eidesvik Offshore and OFFICE DEPOT go up and down completely randomly.
Pair Corralation between Eidesvik Offshore and OFFICE DEPOT
If you would invest 108.00 in Eidesvik Offshore ASA on September 3, 2024 and sell it today you would earn a total of 1.00 from holding Eidesvik Offshore ASA or generate 0.93% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Flat |
| Strength | Insignificant |
| Accuracy | 95.24% |
| Values | Daily Returns |
Eidesvik Offshore ASA vs. OFFICE DEPOT
Performance |
| Timeline |
| Eidesvik Offshore ASA |
| OFFICE DEPOT |
Eidesvik Offshore and OFFICE DEPOT Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Eidesvik Offshore and OFFICE DEPOT
The main advantage of trading using opposite Eidesvik Offshore and OFFICE DEPOT positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Eidesvik Offshore position performs unexpectedly, OFFICE DEPOT can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in OFFICE DEPOT will offset losses from the drop in OFFICE DEPOT's long position.| Eidesvik Offshore vs. SCANDMEDICAL SOLDK 040 | Eidesvik Offshore vs. MEDICAL FACILITIES NEW | Eidesvik Offshore vs. Uber Technologies | Eidesvik Offshore vs. PKSHA TECHNOLOGY INC |
| OFFICE DEPOT vs. EHEALTH | OFFICE DEPOT vs. Ameriprise Financial | OFFICE DEPOT vs. CHIBA BANK | OFFICE DEPOT vs. MINCO SILVER |
Check out your portfolio center.Note that this page's information should be used as a complementary analysis to find the right mix of equity instruments to add to your existing portfolios or create a brand new portfolio. You can also try the ETF Categories module to list of ETF categories grouped based on various criteria, such as the investment strategy or type of investments.
Other Complementary Tools
| Portfolio Holdings Check your current holdings and cash postion to detemine if your portfolio needs rebalancing | |
| Bollinger Bands Use Bollinger Bands indicator to analyze target price for a given investing horizon | |
| Commodity Directory Find actively traded commodities issued by global exchanges | |
| Stocks Directory Find actively traded stocks across global markets | |
| Financial Widgets Easily integrated Macroaxis content with over 30 different plug-and-play financial widgets |